During a recent press conference, Reserve Bank of India Governor Sanjay Malhotra discussed the central bank's monetary policy stance, indicating that interest rates could remain low for the near to medium term. He noted that the full-year inflation average is projected at 4.4%, with expectations for the second half nearing 5%. Malhotra highlighted that the Monetary Policy Committee (MPC) will assess various factors before making decisions, emphasizing that the policy path is not predetermined. He addressed the recent volatility in foreign exchange markets and stated that the measures taken to curb rupee fluctuations are not permanent. Despite a drop in foreign-exchange reserves by approximately $40 billion, Malhotra reassured that India has sufficient reserves for stability. He acknowledged the satisfactory transmission of previous rate cuts into lending and deposit rates, with about 90 basis points transmission on the lending side. While projecting a growth rate of 6.9%, he acknowledged potential risks from supply chain disruptions, particularly in energy. Malhotra concluded by stating that any loan waivers should be targeted and context-specific, especially in cases of natural calamities.